TRI POINTE HOMES INC (TPH) Stock Fundamental Analysis
USA - NYSE:TPH - US87265H1095 - Common Stock
32.64 USD
+1.99 (+6.49%)
32.64 USD
0 (0%)
We assign a fundamental rating of 5 out of 10 to TPH. TPH was compared to 61 industry peers in the Household Durables industry. TPH has an excellent financial health rating, but there are some minor concerns on its profitability. TPH has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year TPH was profitable.
In the past year TPH had a positive cash flow from operations.
TPH had positive earnings in each of the past 5 years.
In the past 5 years TPH always reported a positive cash flow from operatings.
1.2 Ratios
TPH has a Return On Assets of 6.22%. This is comparable to the rest of the industry: TPH outperforms 57.38% of its industry peers.
Looking at the Return On Equity, with a value of 9.39%, TPH is in line with its industry, outperforming 50.82% of the companies in the same industry.
TPH's Return On Invested Capital of 6.45% is in line compared to the rest of the industry. TPH outperforms 45.90% of its industry peers.
The Average Return On Invested Capital over the past 3 years for TPH is in line with the industry average of 9.78%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.22% | ||
| ROE | 9.39% | ||
| ROIC | 6.45% |
ROA(3y)9.52%
ROA(5y)9.28%
ROE(3y)15.16%
ROE(5y)15.46%
ROIC(3y)10.2%
ROIC(5y)10.07%
1.3 Margins
TPH has a Profit Margin of 8.27%. This is in the better half of the industry: TPH outperforms 72.13% of its industry peers.
In the last couple of years the Profit Margin of TPH has grown nicely.
TPH's Operating Margin of 10.40% is fine compared to the rest of the industry. TPH outperforms 67.21% of its industry peers.
TPH's Operating Margin has improved in the last couple of years.
The Gross Margin of TPH (22.20%) is worse than 70.49% of its industry peers.
TPH's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.4% | ||
| PM (TTM) | 8.27% | ||
| GM | 22.2% |
OM growth 3Y-5.72%
OM growth 5Y7.18%
PM growth 3Y-4.72%
PM growth 5Y8.69%
GM growth 3Y-2.33%
GM growth 5Y2.47%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), TPH is creating some value.
Compared to 1 year ago, TPH has less shares outstanding
The number of shares outstanding for TPH has been reduced compared to 5 years ago.
The debt/assets ratio for TPH has been reduced compared to a year ago.
2.2 Solvency
TPH has an Altman-Z score of 3.82. This indicates that TPH is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 3.82, TPH is in the better half of the industry, outperforming 62.30% of the companies in the same industry.
The Debt to FCF ratio of TPH is 4.34, which is a neutral value as it means it would take TPH, 4.34 years of fcf income to pay off all of its debts.
With a Debt to FCF ratio value of 4.34, TPH perfoms like the industry average, outperforming 55.74% of the companies in the same industry.
A Debt/Equity ratio of 0.36 indicates that TPH is not too dependend on debt financing.
TPH's Debt to Equity ratio of 0.36 is in line compared to the rest of the industry. TPH outperforms 45.90% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.36 | ||
| Debt/FCF | 4.34 | ||
| Altman-Z | 3.82 |
ROIC/WACC0.8
WACC8.09%
2.3 Liquidity
TPH has a Current Ratio of 9.02. This indicates that TPH is financially healthy and has no problem in meeting its short term obligations.
TPH has a Current ratio of 9.02. This is amongst the best in the industry. TPH outperforms 90.16% of its industry peers.
A Quick Ratio of 1.99 indicates that TPH should not have too much problems paying its short term obligations.
TPH's Quick ratio of 1.99 is amongst the best of the industry. TPH outperforms 86.89% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 9.02 | ||
| Quick Ratio | 1.99 |
3. Growth
3.1 Past
TPH shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -29.67%.
Measured over the past years, TPH shows a very strong growth in Earnings Per Share. The EPS has been growing by 26.86% on average per year.
The Revenue for TPH has decreased by -16.60% in the past year. This is quite bad
TPH shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 7.82% yearly.
EPS 1Y (TTM)-29.67%
EPS 3Y5.7%
EPS 5Y26.86%
EPS Q2Q%-45.76%
Revenue 1Y (TTM)-16.6%
Revenue growth 3Y4.1%
Revenue growth 5Y7.82%
Sales Q2Q%-25.74%
3.2 Future
Based on estimates for the next years, TPH will show a very negative growth in Earnings Per Share. The EPS will decrease by -12.83% on average per year.
TPH is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -8.56% yearly.
EPS Next Y-41.4%
EPS Next 2Y-29.44%
EPS Next 3Y-12.83%
EPS Next 5YN/A
Revenue Next Year-23%
Revenue Next 2Y-16.48%
Revenue Next 3Y-8.56%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
TPH is valuated reasonably with a Price/Earnings ratio of 9.63.
Based on the Price/Earnings ratio, TPH is valued a bit cheaper than the industry average as 65.57% of the companies are valued more expensively.
TPH is valuated cheaply when we compare the Price/Earnings ratio to 25.45, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 13.57, TPH is valued correctly.
TPH's Price/Forward Earnings ratio is in line with the industry average.
TPH's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 34.46.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.63 | ||
| Fwd PE | 13.57 |
4.2 Price Multiples
TPH's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. TPH is cheaper than 63.93% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of TPH indicates a rather cheap valuation: TPH is cheaper than 80.33% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.53 | ||
| EV/EBITDA | 7.3 |
4.3 Compensation for Growth
TPH has a very decent profitability rating, which may justify a higher PE ratio.
A cheap valuation may be justified as TPH's earnings are expected to decrease with -12.83% in the coming years.
PEG (NY)N/A
PEG (5Y)0.36
EPS Next 2Y-29.44%
EPS Next 3Y-12.83%
5. Dividend
5.1 Amount
TPH does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
32.64
+1.99 (+6.49%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryHousehold Durables
Earnings (Last)
Earnings (Next)
Inst Owners103.17%
Inst Owner Change-0.43%
Ins Owners2.63%
Ins Owner Change0%
Market Cap2.86B
Revenue(TTM)3.75B
Net Income(TTM)310.14M
Analysts76.36
Price Target38.66 (18.44%)
Short Float %5.79%
Short Ratio5.19
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)10.43%
Min EPS beat(2)-0.99%
Max EPS beat(2)21.86%
EPS beat(4)3
Avg EPS beat(4)16.95%
Min EPS beat(4)-0.99%
Max EPS beat(4)41.57%
EPS beat(8)7
Avg EPS beat(8)17.34%
EPS beat(12)11
Avg EPS beat(12)22.86%
EPS beat(16)15
Avg EPS beat(16)21.18%
Revenue beat(2)2
Avg Revenue beat(2)10.4%
Min Revenue beat(2)8.24%
Max Revenue beat(2)12.55%
Revenue beat(4)3
Avg Revenue beat(4)5.09%
Min Revenue beat(4)-0.53%
Max Revenue beat(4)12.55%
Revenue beat(8)7
Avg Revenue beat(8)5.22%
Revenue beat(12)11
Avg Revenue beat(12)9.67%
Revenue beat(16)15
Avg Revenue beat(16)8.4%
PT rev (1m)-2.81%
PT rev (3m)-2.81%
EPS NQ rev (1m)1.64%
EPS NQ rev (3m)1.64%
EPS NY rev (1m)4.8%
EPS NY rev (3m)-7.38%
Revenue NQ rev (1m)-6.9%
Revenue NQ rev (3m)-6.9%
Revenue NY rev (1m)1.62%
Revenue NY rev (3m)0.41%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.63 | ||
| Fwd PE | 13.57 | ||
| P/S | 0.76 | ||
| P/FCF | 10.53 | ||
| P/OCF | 9.5 | ||
| P/B | 0.87 | ||
| P/tB | 0.91 | ||
| EV/EBITDA | 7.3 |
EPS(TTM)3.39
EY10.39%
EPS(NY)2.4
Fwd EY7.37%
FCF(TTM)3.1
FCFY9.5%
OCF(TTM)3.44
OCFY10.53%
SpS42.87
BVpS37.73
TBVpS35.94
PEG (NY)N/A
PEG (5Y)0.36
Graham Number53.65
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.22% | ||
| ROE | 9.39% | ||
| ROCE | 8.66% | ||
| ROIC | 6.45% | ||
| ROICexc | 7.82% | ||
| ROICexgc | 8.38% | ||
| OM | 10.4% | ||
| PM (TTM) | 8.27% | ||
| GM | 22.2% | ||
| FCFM | 7.23% |
ROA(3y)9.52%
ROA(5y)9.28%
ROE(3y)15.16%
ROE(5y)15.46%
ROIC(3y)10.2%
ROIC(5y)10.07%
ROICexc(3y)12.93%
ROICexc(5y)12.56%
ROICexgc(3y)13.88%
ROICexgc(5y)13.51%
ROCE(3y)13.7%
ROCE(5y)13.52%
ROICexgc growth 3Y-4.63%
ROICexgc growth 5Y13.56%
ROICexc growth 3Y-4.66%
ROICexc growth 5Y13.81%
OM growth 3Y-5.72%
OM growth 5Y7.18%
PM growth 3Y-4.72%
PM growth 5Y8.69%
GM growth 3Y-2.33%
GM growth 5Y2.47%
F-Score4
Asset Turnover0.75
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.36 | ||
| Debt/FCF | 4.34 | ||
| Debt/EBITDA | 2.8 | ||
| Cap/Depr | 98.11% | ||
| Cap/Sales | 0.78% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 71.56% | ||
| Profit Quality | 87.48% | ||
| Current Ratio | 9.02 | ||
| Quick Ratio | 1.99 | ||
| Altman-Z | 3.82 |
F-Score4
WACC8.09%
ROIC/WACC0.8
Cap/Depr(3y)108.44%
Cap/Depr(5y)98.73%
Cap/Sales(3y)0.73%
Cap/Sales(5y)0.73%
Profit Quality(3y)88.62%
Profit Quality(5y)109.85%
High Growth Momentum
Growth
EPS 1Y (TTM)-29.67%
EPS 3Y5.7%
EPS 5Y26.86%
EPS Q2Q%-45.76%
EPS Next Y-41.4%
EPS Next 2Y-29.44%
EPS Next 3Y-12.83%
EPS Next 5YN/A
Revenue 1Y (TTM)-16.6%
Revenue growth 3Y4.1%
Revenue growth 5Y7.82%
Sales Q2Q%-25.74%
Revenue Next Year-23%
Revenue Next 2Y-16.48%
Revenue Next 3Y-8.56%
Revenue Next 5YN/A
EBIT growth 1Y-32.9%
EBIT growth 3Y-1.86%
EBIT growth 5Y15.56%
EBIT Next Year-25.45%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-62.61%
FCF growth 3Y19.93%
FCF growth 5Y18.68%
OCF growth 1Y-59.94%
OCF growth 3Y18.39%
OCF growth 5Y17.11%
TRI POINTE HOMES INC / TPH FAQ
What is the ChartMill fundamental rating of TRI POINTE HOMES INC (TPH) stock?
ChartMill assigns a fundamental rating of 5 / 10 to TPH.
What is the valuation status of TRI POINTE HOMES INC (TPH) stock?
ChartMill assigns a valuation rating of 6 / 10 to TRI POINTE HOMES INC (TPH). This can be considered as Fairly Valued.
Can you provide the profitability details for TRI POINTE HOMES INC?
TRI POINTE HOMES INC (TPH) has a profitability rating of 6 / 10.
What is the valuation of TRI POINTE HOMES INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for TRI POINTE HOMES INC (TPH) is 9.63 and the Price/Book (PB) ratio is 0.87.